Nitrogen support

But CF said that a projected fall in wheat acreages would offset the higher corn planting, leaving North American nitrogen demand "steady" in 2016.

Demand to rise

Nitrogen demand should rally this spring, CF said, citing an uptick in application this spring.

"CF is projecting positive spring application volumes as farmers are expected to compensate for a poor fall application with nitrogen being the one nutrient that must be applied annually."

Buyers held back at the end of 2015 due to expectations of lower prices to come, and this combined with delays to application due to weather, "should lead to larger-than-average spring demand and a corresponding rebound in prices".

And CF warned that for Chinese producers, US urea prices prices below $225 a short tonne "may not be sustainable".

CF expects nitrogen demand to continue to grow at around 2% a year, which will "effectively absorb" the current overcapacity in the nitrogen market.

Earnings miss expectations

CF profits missed expectations, as the company reported lower prices and higher costs.

Net earnings attributable to stockholders in the last three months of 2015 fell to $26.5m, down from $238.3m in the same period last year, after sales fell and costs jumped by 50%.

Net sales were down 8.3 %, to $1.12bn.

CF reported adjusted earnings of $0.76 cents a share, compared to the $0.82 a share forecast by analyst.

CF is planning to buy $6bn of assets from Dutch nitrogen group OCI this year, which will make it the world's largest publically traded nitrogen company.